An Indirect tax is a tax liability that can be transferred from one person to another person.
Goods and Services Tax (GST) is an indirect tax (or consumption tax) levied in India on the supply of goods and services. GST is levied at every step in the production process, but is meant to be refunded to all parties in the various stages of production other than the final consumer.
Goods and services are divided into five tax slabs for collection of tax - 0%, 5%, 12%,18% and 28%. However, Petroleum products, alcoholic drinks, electricity, and real estate are not taxed under GST and instead are taxed separately by the individual state governments, as per the previous tax regime.
Following are the list of documents required for Gst Registration:
PAN Card of the Business or Applicant
GSTIN is linked to the PAN of the business. Hence, PAN is required to obtain GST certificate
Identity and Address Proof of Promoters
Identity proof and address proof documents like PAN, passport, driving license, aadhaar card or voters identity card must be submitted for all the promoters.
Business Registration Document
Proof of business registration like incorporation certificate or partnership deed or registration certificate must be submitted for all types of registred entities.
Address Proof for Place of Business
Documents like rental agreement or sale deed along with copies of electricity bill or latest property tax receipt or municipal khata copy must be submitted for the address mentioned in the GST application.
Bank Account Proof
Scanned copy of the first page of bank passbook showing a few transaction and address of the business must be submitted for the bank account mentioned in the registration application.
Class 2 or class 3 digital signature is required for the authorised signatory to sign and submit the GST application. In case of proprietorship, there is no requirement for digital signature.
Gst Registration Faqs
What is a GST Registration?
GST Registration of a business with the tax authorities implies obtaining a unique, 15-digit Goods and Service Tax Identification Number (GSTIN) from the GST authorities so that all the operations of and the data relating to the business can be collected and correlated. In any tax system this is the most fundamental requirement for identification of the business for tax purposes or for having any compliance verification program.
Why should I obtain a GST Registration?
Registration under Goods and Services Tax (GST) regime will confer the following advantages to a business: Legally recognised as supplier of goods or services. Proper accounting of taxes paid on the input goods or services which can be utilised for payment of GST due on supply of goods and/or services by the business. Pass on the credit of the taxes paid on the goods and/or services supplied to purchasers or recipients. Authorization to a taxpayer to collect tax on behalf of the Government.
Do I need to register under the GST Act?
Registration under the GST Act is mandatory if your aggregate annual PAN-based turnover exceeds INR 20,00,000 (Rupees Twenty Lakhs) however the threshold for registration is INR 10,00,000 (Rupees Ten Lakhs) if you have a place of business in Arunachal Pradesh, Assam, Himachal Pradesh, Jammu & Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, or Uttarakhand. Regardless of your turnover, registration is mandatory if - You make Inter-State Supplies - You supply goods through an E-commerce portal - You are a/an o Service Provider o Agent for Registered Principal o Liable to Pay Reverse Charge o Non-resident Taxable Person o Casual Taxable Person o Input Service Distributor o TDS/TCS Deductor o E-commerce Operator o An online data access and retrieval service provider
When do I need to register under the GST Act?
Within 30 days from the date when your liability arose. In case of a Casual Taxpayer or Non-resident taxable person, 5 days prior to the commencement of the business